RESEARCH METHODOLOGY

The term research refers to the systematic method consisting of enunciating the problem ,
formulating a hypothesis collecting the data , analyzing the facts and reaching the certain
conclusions either in the form of solution towards the concern problem or in certain generalization
for some theoretical formulation .

Research Methodology is a way to solve systematically the research problem .It may be understood
as a science of studying how research is done scientifically.

Time Period of the study:

The present study was undertaken during Six weeks from 14th June - 26th July.

Research Design:

Descriptive research procedure is used for describing the recent situations in the organization and
analytical research to analyze the results by using research tools.

Descriptive Research:
Descriptive research, also known as statistical research, describes data and characteristics
about the population or phenomenon being studied. Descriptive research answers the
questions who, what, where, when and how...

Although the data description is factual, accurate and systematic, the research cannot describe
what caused a situation. Thus, Descriptive research cannot be used to create a causal
relationship, where one variable affects another. In other words, descriptive research can be said
to have a low requirement for internal validity.

In short descriptive research deals with everything that can be counted and studied. But there
are always restrictions to that. Your research must have an impact to the lives of the people
around you. For example,finding the most frequent disease that affects the children of a town.
The reader of the research will know what to do to prevent that disease thus, more people will
live a healthy life.

Data Source & Collection Methods:

There are two types for collecting data

1. Primary data
2. Secondary data

Secondary Data:

Secondary data are those which have already been collected by someone else and which
have already been passed through the statistical process. The Secondary data consist of reality
available compendices already complied statistical statements. Secondary data consists of not only
published records and reports but also unpublished records.

Here we done the analysis on basis of secondary data, which included-

Balance sheet of company

Profit and loss A/C of Sathe Synthetics
Cost sheets, & Trail balance of five years
Purpose:

The purpose of this paper is to properly analysis of the working capital management of
Sathe synthetics, Ghaziabad over the period 2005-2009.

Tools used:

I used the different tools to analyze the working capital management of Sathe Synthetics -

Analysis through Working capital ratios

Analysis through Schedule change in working capital
Analysis through Gross operating cycle & Net operating cycle
Analysis through Various components of working capital

LIMITATIONS OF THE STUDY

As central purchase office, purchase raw material and central marketing yarn make sales.
Information that is so more detailed cannot be received about these.
Cash from debtors a collected by the corporate office through commission agents. So
efforts for collection of debtors cannot be clearly known from SATHE SYNTHETICS,
Ghaziabad.
Investment of funds are also made by corporate office, so it becomes difficult to know that
how much investment is made in different ways for continuous availability of funds.